Episode 7: Jar Jar Binks' Super rockin' dance party featuring Boba Fett
Episode 8: "Where are they now?" Interviews with such favorites as Darth Maul, Jango Fett, and pretty much every Jedi from episode 3
Episode 9: The Star Wars Christmas Special (Remastered in Blu-Ray HD 3D with a secret twist ending. Luke's father is Chewbacca!)

If it has to happen?

1,000 years is a LONG ass time.  S

Think about how far we've come from the 1950's.

So as for the setting, i'd say this.

So, Space technology has gotten REALLY good,

Like past Starwars, past even Star Trek Teleporters, replicators holodecks style good.

Space Technology has in fact passed the Jedi.

Everything most Jedi can do, Technology can do better.  Jedi are an afterthought, a relic of an older time.  People who have gone from revered to again like in the time of the original movies, are treated as nothing but serperstiouses people who view the force as some kind of "great thing" when it's really nothing more then universal energies.

Have some big conflict between the two areas... one somewhat nuetral and goodish, with the other being really anti-jedi, wants to bring everyone under their control, wants to wipe out the jedi order... give them a few nihilist Sith to sell merchandise...

and It's a story about how the times are passing the Jedi by, and how they adjust to being "average", with one or two people of course coming through and gaining new deus ex machina powers to turn the tide of the war, since this is an action series first and not a philosophical series.

The Star Wars universe is relatively technologically stable. Knights of the Old Republic, set like 4,000 years before the trilogy, features recognizable technology, to the point where someone from KOTOR could easily be sent 4,000 years into the future to the Clone Wars and not miss a step

It's not meant to be comparable to our scale

After reading the actual rumor and full OP, I have a better opinion now.

It will have to be an overall story line where initial conflicts arise, become over bearing, and then full victory is achieved by someone.

1-3 it was the rise and victory of the Sith. 4-6 was the rise and victory of the rebellion and the last Jedi, both sides alsmost vanquished.

I would think 7-9 would be the rise and seemingly victory of a new Sith army as a subset of the rebuilt Jedi order, finally ending with a massive war where both sides are brought back down in size and Sith being once again thought of as vanquished with the main hero also dying on the Jedi side.

So, part 7 starts out as a vibrant Jedi order begins to see hints of a dark side and there is constant strife as the Galactic Republic has been corrupted and is under attacks of rebellion/mutiny. By the end it is apparent the Sith there, but, not fully disclosed.

part 8 begins with a scene similar to that new game trailer with hundreds of sith attacking some Jedi outpost an the war is handily won by the sith. This movie is pretty much all small battles with mostly Sith wins, until a decisive battle at the end where some major Jedi/other good republic figures are killed or such so it leaves in a real down/dark moment.

part 9 continues with large wars and seemingly barely keeping hope alive, until one specific Jedi is able to unlock the rumored massive powers of Luke/Anakin that allow him to almost single handidly destroy groups of enemies at a time. His (or her) conquest finalize on a seemingly victory at the end where they actualy die, but only after a final onslaught the the sith main base where it seems like all sith are finally destroyed and control is returned to the republic/democratic group. But, the movie hints at a primary evil survivor.

My point is, it needs to be primarily about war. Not a long introduction of single characters which plagued episode one. We need to be thrown into a given conflict with proper dialogue that can fill in the backstory as it proceeds, like episode 6. Then continue through battles and battles with awesome force/saber fighting along with various other normal war scenes common in SW.

If this really is based 1000 years after Episode 6, further than the expanded Universe has even gone...

First -

If it's not following the Skywalker family, I think it shouldn't be called "Episode 7" or whatever. It should be Star Wars: Something.

Second -

As many others have stated. New actors/actresses would be nice. Not a bunch of big names. The main character(s) should be fairly unknown but talented actors/actresses. Use the big names for supporting cast.

Third -

Yoda's race. I want to know more about this race.

Fourth -

Don't use the "One Master, One Apprentice", Rule of Two thing for the Sith. I want full Jedi vs Sith battles! Make sure these Sith are using the Rule of One. Epic Jedi vs Sith battles would make this automatically better than any other film released in the year.

It's recognizable, but I imagine if you took a KOTOR fleet up against a Star Wars era fleet... the Star Wars era fleet would destroy.

I think they should release a live action film of the sarlaac,just sitting there,hanging.After all it takes a thousand years for it to digest its victims and according to wkipedia,it can have conversations with them due to some  power things.

And to think they've already done this.

I would like it to start with an apology from George Lucas, stating that he is sorry for making any prequels and will have no further involvement with Star Wars.

Then the next three films have to pretty good. It should avoid all cheap references to former characters. But I can see them referring to Jar Jar Binks as a legendary warrior and Yoda's grandson, also called Yoda, being leader of the Jedi high council.

I think the story should be completely seperate, no empire, no rebels, just another "western in space", like the original. Heck, maybe not even include the Jedis.

What about Bastila's battle meditation? I can't remember that ever being in the current Star Wars timeline. Who knows what other Jedi abilities and secrets of the Force have been forgotten since then?